UN Secretary-General António Guterres has called the profits reported by oil and gas companies amidst the cost-of-living crisis ‘immoral.’
Following Russia’s invasion of Ukraine, gas and energy prices have skyrocketed, leaving many struggling to pay their bills and cope with the rising prices of all other items.
Mr Guterres explained: “The combined profits of the largest energy companies in the first quarter of this year are close to $100 billion. [Governments must] tax these excessive profits and use the funds raised to support the most vulnerable people through these difficult times.”
The profits of energy companies has been a hot topic after Centrica revealed that it reached £1.34 billion, representing a five-fold increase from last year.
Guterres continued: “Governments need the fiscal space to support their most vulnerable populations to avoid worsening levels of energy poverty or losing energy access altogether.”
Focussing on renewable energy as the answer to hiked prices is the way forward, the Chief suggests.
“Developing countries don’t lack reasons to invest in renewables. Many of them are living with the severe impacts of the climate crisis including storms, floods and droughts. What they lack are concrete, workable options.”